Should Value Investors Buy Ranger Energy Services (RNGR) Stock?

Core Viewpoint - Ranger Energy Services (RNGR) is identified as a strong value stock, currently holding a Zacks Rank of 2 (Buy) and a Value grade of A, indicating its potential for investment [2]. Valuation Metrics - RNGR has a Price-to-Book (P/B) ratio of 1, which is favorable compared to the industry average P/B of 2.24. Over the past year, RNGR's P/B has fluctuated between 0.81 and 1.29, with a median of 0.92 [3]. - The Price-to-Sales (P/S) ratio for RNGR is 0.46, significantly lower than the industry's average P/S of 0.92, suggesting that RNGR is undervalued based on sales performance [4]. - RNGR's Price-to-Cash Flow (P/CF) ratio stands at 4.50, which is also lower than the industry average P/CF of 7.76. The P/CF for RNGR has ranged from 3.51 to 5.05 over the past year, with a median of 4.13 [5]. Investment Outlook - The combination of the aforementioned valuation metrics indicates that Ranger Energy Services is likely undervalued, and its strong earnings outlook positions it as one of the market's strongest value stocks [6].